Bankers Petroleum Albania is set to begin implementing a steam injection oil extraction project in October. This technological development by the company was announced by the CEO of Bankers Petroleum Albania, Huanqin Xiao, in an interview discussing the company’s progress in 2022 and the projects planned for this year.
Approximately 540,000 tons of oil were produced in the Patos-Marinza field in the past year.
The CEO of Bankers Petroleum Albania stated that the oil production quantity is expected to remain the same for this year, and 28 new wells will be opened.
“We plan to maintain production levels at those of 2022 without experiencing a decline, while we have ambitious plans to initiate a steam injection project in the field. Throughout the year, we anticipate that production will remain at 515 thousand tons, and we aim to open 28 new wells including 4 thermal wells. This new technology, used by well-established international companies, will provide us with a new opportunity to increase oil production in the Patos-Marinza oilfield. If everything goes according to plan, we expect steam injection to commence in October of this year,” said Huanqin Xiao, CEO of Bankers Petroleum Albania.
All the oil extracted in Albania by Bankers Petroleum Albania is exported outside the country.
The company’s leader mentioned that profits would be higher if the product were sold in the domestic market.
“It is in Bankers’ interest to sell its product in the domestic market since the selling costs (including transportation and other fees) would be much lower. However, in a situation where large refineries are lacking, crude oil is exported. The most significant export markets remain in Europe, with Spain and Italy leading the way,” stated the CEO of Bankers Petroleum Albania.
Exchange rate fluctuations have also impacted the company’s financial operations, resulting in a 3 million US dollars loss.
“Market risk, which includes foreign exchange, is present when conducting foreign operations. Crude oil is sold in US dollars, while the company has transactions in Albanian lek when paying local suppliers, salaries for its national staff and taxes. The drastic weakening of both the euro and US dollar over the first half of 2023 has had a negative impact on the company by almost 3 million US dollars,” said the head of Bankers Petroleum Albania, Huanqin Xiao.
In addition to projects in the oil extraction sector, Bankers Petroleum Albania has made significant investments in the community. Part of these projects includes the construction of a hydrocarbon waste processing plant.
“We are aware that Patos-Marinza is the largest asset for oil production in Albania, and therefore, we have not stopped investing, not only in hydrocarbon operations but also in the environment and the surrounding communities. The treatment of sludge is already an ongoing project, where we are currently treating hydrocarbon waste in cement kilns in Fushë-Kruja. After obtaining all the necessary permits from the relevant authorities, we will establish a waste treatment plant (with no environmental footprint) in the Patos-Marinza field, an investment that has not been undertaken in Albania before,” declared the CEO of Bankers Petroleum Albania.
